Ya and I also speculated that separate tests would be the logical way to do it, particularly given the difference between gas composition in the upper and lower reservoir sections.
eni have drilled this well clinically.
Just as Berlusconi came out waving his arms threatening to take out Monti last night, eni have hit the deck of the E109 with a firm goal, prove up Heron as a development project. eni did not even batter an eyelid at the shallower carbonate reservoir encountered at HS-1, they drilled past 4.5km, along the way found two separate 100m+ sections of sandstone reservoir in the primary Plover target, then decided to test before encountering the GWC.
I share your frustration, but the market doesn't get it. Yet. Most in the market expect the POS is still <50% and eni may walk. For those of us who can see the scale of what is unfolding here, it really does create an excellent opportunity.
Not that you read to much into the price action, but a little bit of buying leading up to a high impact well test has to be better than an ominous sell-down, particularly in this market.
Tomorrow will be a very interesting day I imagine.
MEO Price at posting:
23.0¢ Sentiment: LT Buy Disclosure: Held
